back to article Investors queue for chance to glance at Zuck's FACE

Mark Zuckerberg told investors yesterday that he wouldn't hesitate to splurge another $1bn on a Web2.0 app. The Facebook boss presented his initial public offering plans to hundreds of money peeps in New York on Monday ahead of floating the company on 18 May. He defended his decision to buy photo-sharing outfit Instagram for …

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  1. Anonymous Coward
    Anonymous Coward

    Hmm...

    Very few actual tangible assets to speak of, slowing growth and a dangerously unpredictable CEO who is not averse to spunking over 10% of the companies value (according to figures in the article) up the wall on rubbish.

    Wow, where do I sign up? Seriously take my money, I don't want it.

    1. James Micallef Silver badge
      Facepalm

      Re: Hmm...

      Besides the fact that FB doesn't have anything close to a revenue stream that would justify such a valuation, I would never put money in a company with the bastardised share structure set up in FB, Google (and quite a few new tech companies it seems ) where investors put in their money to get second-class non-voting shares and complete control of the company rests with the founders even after outside parties have poured in literally billions of their money.

      With banks and financial institutions, shareholders have recently started to push back against the mega salaries and bonuses given to top management. They can do so because their investment carries voting power with it.

      1. I ain't Spartacus Gold badge
        Facepalm

        Re: Hmm...

        James Micallef,

        I disagree. That FB share structure is brilliant. Clearly the shining entrepreneur Zuck should have all the power, and all the money. Only he can be trusted to know how to run the company. Just because financial institutions manage billions, doesn't mean they know what they are doing.

        In fact the opposite is proved by them investing billions in Facebook...

        Oh, hang on a minute. I would buy $1bn of Facebook shares, but unfortunately all my money's tied up in Groupon at the moment.

        To steal a motor racing saying. How do you make a small fortune in Web 2.0 investment?

        Answer: Start with a large one.

        I've upvoted you, and think I'll join you in a "D'oh!"

      2. Don Jefe
        FAIL

        Re: Hmm...

        WTF are you on about? Most all publically traded companies have both preferred and common stocks. Most companies don't trade their preferred stocks as they guarantee (in the shareholder agreement) that they get paid first & common shareholders get whatever is left in the event of a sellout or bankruptcy. The few preferred stocks out there that are traded are terribly expensive for that reason & the fact they often have a 5 or 10 to 1 voting share vs 1-1with common shares.

        Easy example look at Berkshire Hathaway A vs B share values.

        This has been going on for over a century. You've got nothing to bitch about.

    2. Anonymous Coward
      Anonymous Coward

      Re: Hmm... (AC 12:33)

      but, but, the boy wonder wears hoodies to meetings - with off-the-wall, devil-may-care stuff like that going on, what could go wrong? C'mon!

    3. Anonymous Coward
      Paris Hilton

      Re: Hmm...

      I THINK ZUCKERBERG JUST MIGHT MATCH THE GENIUS OF STEVE BALLMER IM GOING TO MORTGAGE MY HOUSE AND SPEND HALF THE MONEY ON LOTTERY TICKETS AND THE OTHER HALF ON FACEBOOK STOCK

  2. Tom 13
    Unhappy

    Re: ...that the company has many years of potential growth ahead of it.

    I suppose technically "centuries" does count as "many years", but I thought investors generally had a shorter horizon for returns than that.

  3. Anonymous Coward
    Anonymous Coward

    potential

    - this is the key word here. And not a noun, nosir.

  4. Irongut

    The Instagram deal should really worry investors. A few more splurges on companies that have no revenue and no buisiness model to provide any revenue in future and FB will be peniless and wondering what happened to the good times.

  5. Silverburn
    Coat

    Copper-haired? Is that the PC term for Ginger?

    1. Don Jefe

      Well they can't call them the "soulless-ones" can they.

  6. Rashomon

    I find it hard to believe that a company that produces absolutely nothing other than advertising revenue can be worth anything - welcome to the new economic reality I guess. Just more worthless crap.

    1. Anonymous Coward
      Anonymous Coward

      like google?

  7. Tom 7

    I must cash in my

    myspace shares for some of this!

  8. The Alpha Klutz

    when you feel low, look at Zuckerberg

    and remember that he will NEVER find true love.

  9. Chris Sake

    Headline misdirection

    I thought given that the headline made use of "glance" and "Zuck's face" that the article would be about either or both of:

    1. Zuck's purchase of yet another non-revenue generating company: Glancee

    2. Zuck's use of copious quantities of makeup.

    But this was not the case.

    Not knowing what Glancee is, I looked on the App[le] Store's (cached as now dead) page for this product, and discover that it is "serendipity supercharged". Now I know, thank <god>.

    I discovered also that it has more than 10,000 active users, so probably does not warrant a USD1b purchase price.

    [1]. http://www.glancee.com

    [2]. http://in.finance.yahoo.com/news/zuckerberg-ridiculed-odd-white-eye-082633301.html

  10. Mr Young
    Go

    Eeek - flashback

    No shares for me thanks - I've seen the chicken choker photo and I'm still really scared!

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